Shares of Herbalife (NYSE: HLF) are seeing much pressure during Tuesday's trading session after Greenlight Capital's David Einhorn asked some investigative questions about Herbalife's 10K disclosures. Einhorn is known for some bearish calls including the likes of Lehman Brothers back in 2007, and more recently with Green Mountain Coffee (NASDAQ: GMCR).

The company released its first quarter earnings results on Monday after the closing bell and the conference call was today at 11 a.m. ET.

Herbalife reported net income of $108.2 million or $0.88 per share, compared to $88.7 million or $0.71 per share, in the year ago period. This compared to Wall Street anlaysts' consensus EPS estimates of $0.81.

Sales for the quarter were $964.2 million, a 21 percent increase over the prior year quarter. This exceeded Wall Street analysts' consensus revenue estimates of $892.90 million.

During Herbalife's first quarter conference call, Einhorn asked management why they stopped disclosing the types of distribution groups, which do not have a sales leader, as well as asking them how Herbalife accounts for those figures.

Soon after, shares fell over 20%, dropping about 15 points. DA Davidson came out defending the shares, and maintained its buy rating.

Some of the analysts Benzinga spoke to said that it is never good when a notable short-focused hedge fund manager questions the company's disclosures. The general consensus was that there could be a story going forward, with Einhorn potentially taking a short position. Those are the fears and the cause of the 20% drop.

Currently, shares are sitting near session lows, down 22.6% at $54.37 per share. Herbalife is a global network marketing company that sells weight management, nutritional supplements, energy, sports and fitness products and personal care products through a network of approximately 2.7 million independent distributors.